Dark deals with donors
Kingborough Chronicle | 24 August 2021
Independent Member for Nelson, Meg Webb MLC has accused the Premier of Tasmania, Peter Gutwein MP, of withholding vital information on casino tax rates prior and during the May 2021 State election campaign.
Ms Webb released a statement on August 19, calling on the Premier “to defend his decision to keep secret” at the May 2021 State election “his gift to the Federal Group of a quarter of a billion dollars”.
“The Premier has refused to explain why he confirmed the intended discount casino pokies tax rate with a ‘stakeholder’, Federal Group, in December last year, but then deliberately hid those same details during the election campaign from his most important stakeholders, the Tasmanian people,” Ms Webb stated.
Ms Webb released Right to Information (RTI) documents on August 18, revealing the new deal could have been made as early as December 23, 2020, four months before the May 1 election this year.
“The deal was done, the fix was in, but the Tasmanian voter was cut out,” stated Ms Webb.
“By his omission, [the Premier] misled, deceived and manipulated both the media and Tasmanian voters.”
Ms Webb said “it was outrageous” a select few within the Treasury and the gaming industry were in the know regarding the proposed new tax rates when the Premier took the state to the polls.
“The state’s media and Tasmanian electorates were kept in the dark,” said Ms Webb.
“Any attempt to now claim a ‘mandate’ for the proposed new FGM (Future Gaming Market) reforms is laughable and offensive.”
Ms Webb also released transcripts of an ABC interview questioning the Premier in the lead up to the election.
The transcripts show that in an ABC radio interview with Leon Compton on March 29, the Premier repeatedly avoided answering a question on the tax rate the Federal Hotel Group would pay on poker machines in their casinos.
“Premier, I think people have listened to this and heard you repeatedly refuse to say what rate one of your significant party donors will be charged,” Leon Compton said in the transcript of the radio interview.
The following day, Thursday, August 19, Minister for Finance, Michael Ferguson MP claimed Ms Webb had it wrong.
Minister Ferguson said Ms Webb was “deliberately trying to muddy the waters” around the Future Gaming Policy and called the independent member “anti-jobs”.
“With such opposition to the policy we took to two elections, anyone would think Ms Webb would rather the Federal monopoly deed to continue and get lower tax receipts for essential public services,” said Minister Ferguson.
“The fact is that the Federal Group will be about $20 million per annum worse off under proposed legislation due to ending the monopoly in Tasmania.
“It’s anything but a special deal for Federal and to say otherwise is a simple lie.
“We said we would deliver more money for essential services and provide certainty and security for jobs in pubs and clubs, again this is what we are doing.”
Minister Ferguson also stated the government was “very clear with the Tasmanian people” about their policy over the last two elections.
Ms Webb said the State Government’s own Exposure Draft Bill document provides data reinforcing evidence that “the casino tax rates and industry deal had been finalised and signed off by Cabinet well before the election was called”.
In his response, Minister Ferguson maintained that no decision was made until after the election, adding that the Tasmanian Government “have chosen to benchmark our taxation policy on that of regional Queensland”.
“The inconvenient truth for Ms Webb is that the Future Gaming legislation consultation package was not approved by government until after the State Election,” Minister Ferguson claimed.
“We were very clear that the taxation rates and licensing model for casinos and keno would be included in the Exposure Draft of the Bill and that we would commence stage two public consultation.
“Until that time, the arrangements were not finalised and as is normal for any type of reform, consultation and discussions occur during the development of the policy.
“Furthermore, a decision on the final bill (including the taxation and licencing regime) to take to Parliament is not made until the consultation is reported to government.”
In a follow up interview with the Kingborough Chronicle on August 20, Ms Webb said the legislation was being drafted long before the election.
“The drafting of this legislation began in March and could only have started once Cabinet made decision to authorise it,” declared Ms Webb.
“When Cabinet considered the gaming policy prior to March, did it include the intended discount casino pokies tax rate?
“Tasmanians deserve honest answers to these questions.”
Ms Webb said the main stakeholders are the Tasmanian people, especially during an election.
“It remains to be confirmed or denied by all Cabinet members whether they knew the intended discount casino pokies tax rate prior to the election and, like the Premier, kept it hidden,” remarked Ms Webb.
“If so, that’s an appalling travesty of our democracy.”
Ms Webb said independent economic modelling shows “the dramatically discounted casino pokies tax rate equates to a quarter-of-a-billion dollar gift to Federal Group over the period of the licence”.
“It looks like the Premier didn’t want to explain to the Tasmanian people during an election why he was giving away a $248 million gift to a major party donor,” stated Ms Webb.
“Polling this month shows only three per cent of
Tasmanians agreed with a lower tax rate for casino pokies, while a total of 91 per cent disagreed with it.”
The Kingborough Chronicle wrote to the Premier on August 18 asking why the details were withheld from the community before the election.
“Given the Liberal members [of Parliament] may benefit from donations, does concealing deals of this nature amount to Fraud?” the Kingborough Chronicle asked.
No reply was received from the Premier’s office at the time of printing.
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